VIC House in Mambourin - yay or nay?

Discussion in 'Where to Buy' started by MiffyFanBubbles, 2nd Dec, 2020.

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  1. MiffyFanBubbles

    MiffyFanBubbles Active Member

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    First time property investor. I have multiple friends investing in land and building in the area because of the grants. Apparently there is a train station and there are a few schools in the area and I'm being convinced that since it's close to Werribee, the land will eventually appreciate.
    I'm thinking of considering building closer to the train station because... location.
    Thoughts?
     
  2. Westie

    Westie Well-Known Member

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    There is no train station in Mambourin, but it does have the choice of 3-4 other existing ones. If you bought in Werribee as close to the trains as possible, you'd have a greater chance at CG, IMO. You could look further out towards Geelong. Don't just follow the herd.
     
  3. MiffyFanBubbles

    MiffyFanBubbles Active Member

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    Re: train station - I was referring to the proposed Mambourin Train Station
    Thanks for sharing! I did look into Werribee but the houses there are generally old to the extent I'm worried renting it out would incur more maintenance costs than it's worth
     
  4. ashish1137

    ashish1137 Well-Known Member

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    Hi Miffy,

    The area has grown a lot in past few years. Can you explore other narkets or regionals?
    What sort of rental yield you are after?
    My assumption in current market is that you would spend 550k to get 400 to 420 per week back.

    I would also rsther suggest to look at Wyndham Vale. Not sure if you see a significant difference between the prices.

    In Werribee can you get bigger land and subdivide or add an additional dwelling for value add?

    Work out numbers and see areas that are of interest to you. Following friends might not be a right thing to do unless any one of them has done something that has really inspired you. :)

    Regards
     
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  5. MiffyFanBubbles

    MiffyFanBubbles Active Member

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    Thanks Ashish for taking the time to share your insights! Is the reason why you suggest Wyndham vale that it is more developed?
    I have been looking at Werribee actually but I noticed a lot more old houses (which I'm afraid leads to more maintenance) and not too much land to purchase.
     
  6. ashish1137

    ashish1137 Well-Known Member

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    Hi
    I suggested WV as there is very less supply, especially near to the station.

    Considering that, Mambourin might not be bad. Again price point becomes of essence. There is also a lot of land that can be developable and short term growth (0-5 years) may take a hit, rentals are less as compared to price point as well.

    I could find some deals on land where 300 sq mt may be grabbed for 240k or so. I dont think the price point is bad, add another 230k to 240k for a 19/ 20 square build and you are all done between 470k to 480k with 380 to 390 per week as rental...

    Hope numbers make sense based on your strategy. :)

    Regards
     
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  7. MiffyFanBubbles

    MiffyFanBubbles Active Member

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    Thanks Ashish! Very helpful analysis!
     
  8. strongy1986

    strongy1986 Well-Known Member

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    Im guessing all of your friends are also first time investors?
    I would rather be doing what people with experience are doing
    Take your time and start reading this forum before you do anything

    If you want to make money in real estate investing you are just goimg to have to get used to tbe idea of maintenance costs - its unnavoidable

    Also when property investing for growth/wealth creation you are investing in LAND.
    The building is simply a way to derive an income from the land you have invested in and one day that building will hold no value
     
  9. Nervous_Wreck

    Nervous_Wreck New Member

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    Hi all,

    I've been looking at quite a few places around Wyndham Vale online, the prices seem rather tempting. Is it a good market to buy into over there right now?

    I'm a first timer, looking to slowly consider sinking my teeth into an investment property, I currently live in Truganina, a small new build in which I moved in early this year.

    Any thought would be great,
     
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  10. ashish1137

    ashish1137 Well-Known Member

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    Hey guys,

    There is a lot more to investment that meets the eye.
    First, why vic? Why not other states?
    Second, what do you want your investment to do for yourself?
    Third, what parameyers you are keeping in mind such that a suburb will keep perfoeming at par to average growth?

    Once you get answer to these questions, you will be clear on your strategy. No purchase is bad but some will expedite your financials and achievements and some may hold you back by certain number of years.

    Eventually, everything grows but how long would you be willing to wait is the question.

    Regards
     
  11. MiffyFanBubbles

    MiffyFanBubbles Active Member

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    VIC: I can only speak for myself but as a first home buyer, I want to start investing somewhere closer to home as my first one, especially if I need to do maintenance such as mowing the lawn.

    I'm planning on holding the property as capital growth for 10+ years.

    Eastern suburbs are out of my budget so that leaves the Western suburbs. I'm still torn whether I should go off-the-plan (because of the 15K grant next year and 10K first home grant) or somewhere existing like Wyndham vale and Werribee.
     
  12. MiffyFanBubbles

    MiffyFanBubbles Active Member

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    For me, Wyndham vale > Werribee. But I heard rental yields are poor for Wyndham vale with 15% vacancy rates?
     
  13. strongy1986

    strongy1986 Well-Known Member

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    Its the tenants job to mow the lawn....
     
  14. MiffyFanBubbles

    MiffyFanBubbles Active Member

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    Ahh I see, you're right! Thanks for sharing :)

    With regards to 15% vacancy rate, do you happen to know whether this should be an alarming statistic?